**(c)**NOTWITHSTANDING
ANYTHING TO THE CONTRARY SET FORTH IN THIS AGREEMENT, LESSEE SHALL INDEMNIFY LESSOR AND REIMBURSE LESSOR FOR ANY DIMINUTION IN VALUE OF OR TO THE AIRCRAFT RESULTING FROM DAMAGE THERETO DURING THE LEASE TERM, EXCEPT (I) TO THE EXTENT CAUSED BY
THE NEGLIGENCE OR WILLFUL MISCONDUCT OF LESSOR OR ITS REPRESENTATIVES OR (II) TO THE EXTENT COVERED BY THE PROCEEDS FROM THE INSURANCE POLICIES REQUIRED UNDER **SECTION 12** HEREOF. If the parties cannot agree on whether or not the Aircraft has
suffered diminution in value or the amount of such diminution in value, then an appraisal will be performed to determine the diminution in Aircraft value, if any, that is proximately caused by such damage and repair. 


  


10.